At present, the state has six medical colleges. The National Thermal Power Corporation (NTPC) and Mahanadi Coal Field Limited (MCL) have agreed to set up two medical colleges.

MCL has agreed to set up a medical college at Talcher. NTPC too has agreed in principle to the proposal. It is yet to decide the location of the new college.

The state government has also approached Nalco and SAIL to help develop the state in this regard.

Investment to the tune of Rs 150 crore is needed for a medical college with a capacity to enrol 100 students per annum.

The state currently has three government medical colleges— MKCG Medical College, Berhampur, SCB Medical College, Cuttack and VSS Medical College, Burla. Besides the government colleges, there are three private medical colleges.

The All India Institute of Medical Science (AIMS) is setting up its unit in the capital city. At the meeting today, it was decided that a regional paramedical training centre would be set up at Bhubaneswar at an estimated cost of Rs 75 crore to impart training to para-medical staff.

Health department sources said many organisations have submitted their proposals to set up medical colleges in backward districts like Kalahandi, Keonjhar and Balangir.

Of these, the Sahyog Health Care and Research Foundation (SHRF) has already inked an MoU with the state government to set up a multi-specialty medical college and hospital. The hospital-cum-college, at an estimated cost of Rs 210 crore, would be ready by 2012.

Orissa health minister Prasanna Acharya said: “The state government would encourage establishment of more and more medical colleges and hospital in the public-private partnership (PPP) mode. A proposal has been sent to Centre for establishment of one medical college and hospital in PPP mode at Koraput.” The state government has granted a no objection certificate to Hi-Tech Hospital authority to establish one medical college in Rourkela.

Decks have been cleared for the setting up of another medical college in Balangir.